Topics Covered:

1. U.S. Taxpayers Renouncing Citizenship Due To FATCA.
2. The importance of naming a proper beneficiary AND contingent beneficiary for certain types of assets.
3. IRS’ Summertime Tax Tips and what they mean for you.
4. Questions from our listeners:

• I have been hearing a lot about hedge funds and always wondered what they are?
• I am a U.S. citizen and reside in Mexico. I have filed U.S. returns annually, however I may have omitted some income or annually, however I may have omitted some income or computed income incorrectly and omitted one or more international information returns. Can I rectify the issues with the streamlined program?

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Jeff states: Yes sometimes we just have to take the money and run!

Good afternoon! Welcome to Inside Advantage – Your Financial And Tax Radio Show.

This is Board Certified Tax Attorney, Jeffrey B. Kahn, the principal attorney of the Law Offices Of Jeffrey B. Kahn, P.C. and head of the KahnTaxLaw team.

Windus states:

And this is Licensed Financial Planner, Windus A. Fernandez Brinkkord, Vice President Of Investments at Trilogy Financial Services.

You are listening to our weekly radio show where we talk everything about finances and taxes from the ESPN 1700 AM Studio in San Diego, California.

Jeff states:

When it comes to knowing tax laws and paying taxes, let’s face it — everyone in the U.S. is either in tax trouble, on their way to tax trouble, or trying to avoid tax trouble!

Windus states:

And whether you are on the rebound or flying high, we have the information you need to make sound financial decisions and map out your strategy for success.

Jeff states:

Our show is broadcasted each Friday at 2:00PM Pacific Time and replays are available on demand by logging into the KahnTaxLaw website at www.kahntaxlaw.com.

Jeff states:

For today’s show we have coming up:

Segment 2 material: the importance of naming a proper beneficiary AND contingent beneficiary for certain types of assets.

Windus states:

Also coming up is:

Segment 3 material: our continuation of the IRS’ Summertime Tax Tips and what they mean for you.

And of course towards the end of our show, we will be answering some of your questions.

Jeff starts chit chat with Windus.

U.S. Taxpayers Renouncing Citizenship Due To FATCA.

Windus states: CNN Money reported in article on May 8, 2015 http://money.cnn.com/2015/05/08/pf/taxes/american-expats-passports-renounce/index.html?iid=SF_LN

that a record 1,335 Americans in the first quarter of 2015 gave up their passports. The article goes on to state that’s nearly 40% of the 3,415 Americans that renounced citizenship last year, suggesting that U.S. renunciations will again hit a new high this year. In 2014, the number of Americans who gave up their passport was 15 times higher than in 2008.

Jeff you brought this to my attention so I suspect that this has something to do with taxes.

Jeff replies, that’s right and it’s called FATCA.  The Foreign Account Tax Compliance Act which became law in 2010 and as of 2014 is in full effect.

Talking Points – Windus to state the point and Jeff will comment:

1. U.S. taxes worldwide income of its citizens, green card holders and others having a “substantial presence” in the U.S.

2. Foreign banks now have the same reporting obligations as U.S. banks. Failure to comply results in a 30% withholding tax on U.S. investments.

3. U.S. taxpayers who fail to report foreign income and foreign account face steep penalties and could face criminal prosecution.

4. Just for failing to report a foreign bank account could result in a minimum $10,000.00 penalty.

5. Fortunately the IRS has programs in place that if your are proactive and come forward before the IRS finds you, you can avoid criminal prosecution and save a lot in penalties – in some cases even avoid penalties.

Well it’s time for a break but stay tuned because we are going to tell you the importance of naming a proper beneficiary AND contingent beneficiary for certain types of assets.

You are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord on Inside Advantage on ESPN.

BREAK

Welcome back.  This is Inside Advantage – Your Financial And Tax Radio Show on ESPN and you are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord.

The importance of naming a proper beneficiary AND contingent beneficiary for certain types of assets.

Jeff states: Windus you saw an article published on July 29^th in the Wall Street Journal titled “Avoid a Big Tax Hit by Properly Naming Beneficiaries” which caught your attention. http://www.wsj.com/article_email/avoid-a-big-tax-hit-by-properly-naming-beneficiaries-1438171200-lMyQjAxMTI1NTA5MTYwMDEyWj

And the article does point out the importance of naming a proper beneficiary AND contingent beneficiary for certain types of assets.

Jeff asks Windus: What assets would qualify and need a beneficial designation?

Windus Response.

Jeff asks Windus: What happens if you fail to designate a beneficiary?

Windus Response includes it triggered both a probate and issues on the transfer of assets.
Windus tells story:

A brief story about a husband and wife, in their 90’s, husband dies and because he didn’t add his wife to his brokerage account after over 60 years of marriage, the account triggered a probate. Wife dies before probate is over. Family struggles with 3 years of probate courts and thousands of costs in fees.

Jeff asks: How do you avoid this?

Windus reply includes: Ways to avoid this, name a spouse as a beneficiary, even in non-retirement assets.  You can do so by titling the account as a transfer on death account if you didn’t want their name on the account itself. Having a family trust and having the account properly titled in that trust.

Windus PLUG: Trilogy Financial Services will provide you with a retirement cash flow analysis which is a $600.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment. Call my office to make an appointment to meet with me, Windus A. Fernandez Brinkkord.  The number to call is 858.314.5169. That is 858.314.5169.

Windus tells second story:
Mom has a trust and an IRA, attorney has her list dad as the beneficiary on the IRA but mom doesn’t add the trust as the contingent.  Now dad passes away and then mom passes away years later.  Beneficiaries are not updated and therefore, the IRA goes to probate.

In the end, the probate court puts the IRA in the Trust and the trust forces liquidation of this and taxes are paid all at once.  When beneficiaries are named properly, you can avoid needless taxes from being paid.

In a beneficial IRA, you can either keep the IRA going with RMD’s and it can grow and be a part of your long term plan OR you can liquidate it over 5 years.

In either situation, you can further reduce the costs to you in terms of taxes.

Jeff asks Windus:  What considerations should someone think about in whom to designate as a beneficiary?

Windus response.

Jeff asks Windus:  After the owner of the asset dies or in case of an insured on an insurance policy dies, normally a beneficiary can come in and claim the asset or the death benefit and they have no restriction on what to do with it.  For someone who has this concern, what can be done?
Windus response.

Jeff asks Windus:  Discuss the flexibility of setting up a trust as the beneficiary versus individuals.

Windus response.

Windus PLUG: Trilogy Financial Services will provide you with a retirement cash flow analysis which is a $600.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment. Call my office to make an appointment to meet with me, Windus A. Fernandez Brinkkord.  The number to call is 858.314.5169. That is 858.314.5169.

Stay tuned because after the break we have Amy Spivey joining in to tell you some important summertime tax tips that can help you avoid tax problems with IRS.

You are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord on Inside Advantage on ESPN.

BREAK

Jeff states: Welcome back.  This is Inside Advantage – Your Financial And Tax Radio Show on ESPN and you are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord.

Calling into the studio from my Walnut Creek Office is my associate attorney, Amy Spivey.

Chit chat with Amy

IRS Summertime Tax Tips

Starting July 1^st, the IRS began offering its Summertime Tax Tip series which include useful information in English and Spanish. Tax Tip subscribers receive a new Tip via email three times a week during July and August. They also get a Tax Tip each weekday during the tax filing season. The IRS also issues Special Edition Tax Tips on important tax topics throughout the year.  Taxpayers can sign up for the IRS Tax Tips subscription through a free service on www.irs.gov. For this segment we have pulled some of these tips which we want to share with you and add our comments to them.

IRS Summertime Tax Tip 2015-11, July 27, 2015 – No Need to Wait Until Oct. 15 Extension Deadline to File

October 15^th is the last day to file 2014 tax returns for most people who requested an automatic six-month extension. However, you can file any time before October 15^th if you have all your required tax documents. If you are one of the nearly 13 million taxpayers who asked for more time to file your federal tax return this year, you don’t need to wait until Oct. 15 extension deadline to file your return. You can file now if you are ready.

Amy states: As you prepare to file, here are some things that the IRS in this tip wants you to know:

Using IRS Free File.  Even though it is after April 15th, nearly everyone can use e-file their tax return for free through IRS Free File. It does the math, checks to see if you qualify for tax breaks that you might miss, and it works best for those who are used to doing their own taxes. The program is available on IRS.gov now through Oct. 15^th.

Jeff states: The IRS claims that IRS e-file is easy, safe and the most accurate way to file your taxes. Also that E-file you get all the tax benefits that you are entitled to claim. That may be so if your return is simple but if you are self-employed, have rental properties or other investments, I would recommend that you see a tax professional to make sure you are getting all the tax benefits you are entitled to claim.

Amy states: A Refund May be Waiting.  If you are due a refund, you should file as soon as possible to get it.

Jeff states: I agree.  It’s your money and you should be earning the interest not the IRS.

Amy states: Try Easy-to-Use Tools on IRS.gov.  Use the EITC Assistant to see if you’re eligible for the credit. Use the Interactive Tax Assistant tool to get answers to common tax questions, including new Health Care Law topics. Use these interactive tools to find out if you’re eligible to claim the premium tax credit, qualify for an exemption or if you must make a payment.

Jeff states: Due to budget cuts over the years, the IRS has had to rely on beefing up its on-line resources so that taxpayers looking for self-help can find answers on their own instead of speaking with IRS representatives.  It does not hurt to try this resource but if your situation is not simple or the IRS has not covered it, you would be best served by seeking out a tax professional.

Amy states: Missed the April 15^th Deadline? File as Soon as You Can. If you did not request an extension by April 15, you should file and pay as soon as you can anyway. This will stop the interest and penalties that you will owe. IRS Direct Pay offers you a free, secure and easy way to pay your tax directly from your checking or savings account. There is no penalty for filing a late return if you are due a refund. The sooner you file, the sooner you’ll get it.

Jeff states: The IRS charges a late-filing penalty of 10% where that return shows a balance due.  Now if you can show reasonable cause, the penalty may be abated.

Amy states: More Time for the Military.  Some people have more time to file. This includes members of the military and others serving in a combat zone. If this applies to you, you typically have until at least 180 days after you leave the combat zone to both file returns and pay any taxes due.

Jeff states: There are special tax breaks for members of the military through the tax code which provides all the more reason for taxpayers in the military and even us regular folk to find out what are your options and what tax benefits are you entitled to.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment.  Call my office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

IRS Summertime Tax Tip 2015-14, August 3, 2015 – Back-to-School Education Tax Credits

Jeff states: If you, your spouse or a dependent are heading off to college in the fall, some of your costs may save you money at tax time. You may be able to claim a tax credit on your federal tax return. Here are some key IRS tips that you should know about education tax credits:

Jeff to read each credit and Amy to describe.

• American Opportunity Tax Credit. The AOTC is worth up to $2,500 per year for an eligible student. You may claim this credit only for the first four years of higher education. Forty percent of the AOTC is refundable. That means if you are eligible, you can get up to $1,000 of the credit as a refund, even if you do not owe any taxes.
• Lifetime Learning Credit.  The LLC is worth up to $2,000 on your tax return. There is no limit on the number of years that you can claim the LLC for an eligible student.

Jeff asks Amy: Can someone claim both types of credits?

Amy replies:  You can claim only one type of education credit per student on your tax return each year. If more than one student qualifies for a credit in the same year, you can claim a different credit for each student. For instance, you can claim the AOTC for one student, and claim the LLC for the other.

Jeff asks Amy: What expenses qualify for the credit?

Amy replies:  Qualified expenses are amounts paid for tuition, fees and other related expense for an eligible student that are required for enrollment or attendance at an eligible educational institution. You must pay the expenses for an academic period that starts during the tax year or the first three months of the next tax year.

Eligible expenses also include student activity fees you are required to pay to enroll or attend the school. For example, an activity fee that all students are required to pay to fund all on-campus student organizations and activities.

For AOTC only, expenses for books, supplies and equipment the student needs for a course of study are included in qualified education expenses even if it is not paid to the school. For example, the cost of a required course book bought from an off-campus bookstore is a qualified education expense.

Jeff states: In most cases, you should receive Form 1098-T, Tuition Statement, from your school by February 1, 2016. This form reports your qualified expenses to the IRS and to you.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment.  Call my office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Thanks Amy for calling into the show.  Amy says Thanks for having me.

Stay tuned as we will be taking some of your questions. You are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord on Inside Advantage on ESPN.

BREAK

Jeff states: Welcome back.  This is Inside Advantage – Your Financial And Tax Radio Show on ESPN and you are listening to Board Certified Tax Attorney, Jeffrey B. Kahn, and Licensed Financial Planner, Windus A. Fernandez Brinkkord.

Windus PLUG: Trilogy Financial Services will provide you with a retirement cash flow analysis which is a $600.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment. Call my office to make an appointment to meet with me, Windus A. Fernandez Brinkkord.  The number to call is 858.314.5169. That is 858.314.5169.

You should also know that the securities and advisory services are offered through National Planning Corporation.(NPC) Member FINRA, SIPC, and a Registered Investment Advisor.  Trilogy Financial Services and NPC are separate and unrelated Entities.

Jeff states: If you would like to post a question for us to answer, you can go to my website at www.kahntaxlaw.com and click on “Radio Show”.  You can then enter your question and maybe it will be selected for our show.

OK Windus, what questions have you pulled for us to answer?

Sam from Carlsbad asks:  I have been hearing a lot about hedge funds and always wondered what they are?

Jeff states, I think that is a great question for Windus to answer so I will let you respond.  Windus responds.

Carlos from San Diego asks: I am a U.S. citizen and reside in Mexico. I have filed U.S. returns annually, however I may have omitted some income or annually, however I may have omitted some income or computed income incorrectly and omitted one or more international information returns. Can I rectify the issues with the streamlined program?

Jeff replies: The Streamlined Foreign Offshore Procedure is extended to amended returns for the 3 year period. The amended return feature is important as filing omissions such as the failure to include items in income or file various international information returns can come now under Streamlined Foreign Offshore Procedure without having to demonstrate a reasonable cause defense. The Streamlined Foreign Offshore Procedure is also extended to those who previously filed as a “quiet disclosure” outside of any amnesty program.

Jeff PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the Inside Advantage Radio Show when you call to make an appointment.  Call my office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Jeff states: Well we are reaching the end of our show.

Remember you can send us your questions by visiting the kahntaxlaw website at www.kahntaxlaw.com.

Windus states: Have a great day everyone!

Topics Covered:

1.  Beware IRS Scam Calls Are Still Going On.

2.  Proposed Changes To Student Loan Repayments

3.  IRS Summertime Tax Tips

• Don’t Overlook the Child and Dependent Care Tax Credit this Summer.
• Tips to Help You Pay Your Tax Bill this Summer

4.  Questions from our listeners:

• I listen to your show all the time and hear you say that you are Board Certified in Tax – what does that mean?
• I am getting ready to file my 2014 which will have a balance due that I cannot pay in full. What can I do?
• Why does the IRS file tax liens?

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Yes we are all working for the tax man!

Good afternoon! Welcome to the KahnTaxLaw Radio Show

This is your host Board Certified Tax Attorney, Jeffrey B. Kahn, the principal attorney of the Law Offices Of Jeffrey B. Kahn, P.C. and head of the KahnTaxLaw team.

You are listening to my weekly radio show where we talk everything about taxes from the ESPN 1700 AM Studio in San Diego, California.

When it comes to knowing tax laws and paying taxes, let’s face it — everyone in the U.S. is either in tax trouble, on their way to tax trouble, or trying to avoid tax trouble!

It is my objective to make you smarter so that you legally pay the least tax as possible, avoid tax problems and be aware of the strategies and solutions if you are being targeted by the IRS or any State tax agency.

Our show is broadcasted each Friday at 2:00PM Pacific Time and replays are available on demand by logging into our website at www.kahntaxlaw.com.

I have a lot to cover today in the world of taxes and helping me out will be my associate attorney Amy Spivey who will be calling in later.

And in the studio with me I have a special guest.  I want to introduce you to Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

Chit chat with Windus.

Beware IRS Scam Calls Are Still Going On.

Jeff states: So today’s top story is:

Learning you are a victim of identity theft can be a stressful event. Identity theft is also a challenge to businesses, organizations and government agencies, including the IRS. Upon getting your personal information and social security number, scam artists may file a tax return under your social security number claiming a fraudulent refund or contact you pretending to be the IRS and extorting money from you.

Windus have you come across this situation in your practice?

Jeff continues, being a tax law firm we do get calls on this which is why I felt it important that I talk about this problem.

Listen to the story of Arati who works in New York City and immigrated to the U.S. from India.  Arati received a call from a Brian Cruz who called her house early in the morning before Arati left for work. He left his telephone number, name and noted he was calling from the IRS.  Arati put the number in her cell phone without searching for it online first.  After all it had a 202 area code which is Washington D.C. so she figured it had to be official.  Once she got into her car she called, and the man who picked up the call answered that this was the investigations bureau for the IRS. Arati asked for Cruz, but he wasn’t available. The man who picked up the call told Arati to give him the telephone number where Cruz left the message. She did, and then it began.

After the man confirmed Arati’s home telephone number, he stated that she attempted to defraud the IRS, and that the government was now taking legal action against her including issuing a warrant for her arrest within the next hour. When Arati asked what this was all about, he asked if she aware of an investigation against her. Arati replied “I have no clue about an investigation. This is the first time I’m hearing about any of this”.  Arati started to panic.  The man asked if Arati had a lawyer, and then told her about the investigation ordering her not to interrupt him while he speaks.  He then recited the last four digits of Arati’s social security number and recited where she worked. He seemed to know all of Arati’s personal information.  He told Arati that she failed to declare all of her income and engaged in tax fraud. He then told Arati that the government was seizing all property and all assets in her name that it had already froze her bank and credit card accounts, suspended her driver’s license as well as her passport. Furthermore, there would be a massive penalty, plus possible jail-time and that her social security number was now blacklisted.

Arati listened with fear to this man who went on to tell her someone would be waiting at her office to arrest her. Arati asked why this was the first time she was hearing about it. His reply: “This isn’t our first attempt to make you aware. We came to your house but you were not home.” Arati then asked what she owed the government. He replied approximately $4,900.  Arati then asked why she couldn’t just pay him the amount owed. He told her that the investigation was beyond the point of payment–it was too late.

The man then asked Arati questions like: Have you been part of any previous tax fraud cases? Are there currently any judgments against you? Are there any lawsuits pending against you? The man then stated she could wire the amount owed or deliver a check to him.

Now at this point Arati was starting to think that something was wrong. Being an IRS agent, wouldn’t he already have records showing that she has a clean record? Wouldn’t she have been audited if the IRS believed she owed taxes? Why would the IRS look to take such drastic action for only a $4,900 liability?  Arati started to doubt the man and when she pressed him to independently confirm that he works for the IRS, he replied: “How would you even find me using the IRS 1-800 number? This is my direct line. Do you want to find out if I’m a real IRS agent? You’ll see in an hour when the arrest warrant is issued.” Then, he hung up.  Arati then showed up at work and no agents were waiting for her.

I tell you this true story so you can get an idea on how far these scam artists are willing to go even if it is just to collect $4,900!

Windus comments?

Scam artists are now concentrating on Indian Americans and other South Asian Americans which are predominately located in California as part of our state’s huge and lucrative technology industry.  Scam artists pretending to be Internal Revenue Service officials threaten to send out an arrest warrant if money is not paid to them immediately over the phone.

This has been a big problem for the IRS and despite issuing multiple consumer alerts, the bogus emails, the bogus IRS letters and the bogus telephone calls continue and unfortunately taxpayers are still falling for this.  The government estimates that taxpayers have lost roughly $5 million to scammers.

Well I do not want you to become the next victim of any such scam nor do we want to ignore true IRS inquiries.  It is important to know that the IRS will not call you to demand immediate payment, nor will it call about taxes owed without first mailing you a bill or a notice.

Well it’s time for a break but stay tuned because if you have outstanding student loans my guest Windus A. Fernandez Brinkkord has some important information for you that can save you some money.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back.  This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

And in the studio with me I have as my special guest Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

New Federal Student Loan Repayment Program is a Bad Deal for Borrowers

Jeff states: With the increasing costs of college more students are struggling to repay their loans and the new repayment plan proposed by the department of education will not bring the relief that is so desperately needed. This proposal was discussed in an article that was published in examiner.com about proposed changes in the Federal Student Loan Repayment Program [http://www.examiner.com/article/new-federal-student-loan-repayment-program-is-a-bad-deal-for-borrowers].

Jeff asks Windus: First tell us about the current system for repaying Federal student loans.

Windus to discuss the current plans, IBR & PAYE.

Jeff states:  By the way, Windus is a licensed financial planner who can help you plan for financial success and she is offering a special offer to our listeners.  Her firm Trilogy Financial Services will provide you with an Investment Audit which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. The number to call is 858.314.5169. That is 858.314.5169 for your free investment audit by Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

Jeff asks: So what is the new plan all about?

Windus to discuss: The new plan was supposed to open up PAYE to essentially everyone instead of having people who had loans before October 2007 be exposed to a less favorable program. However, the new program REPAY would require you to 100% disclose your spouse’s income.  So if you were to take on these loans and be in the program and then at year 15 of the program, get married it could put you in a very BAD situation to have to make much larger payments on the student loans. This almost encourages people not to get married.

Jeff states:  Windus is offering a special offer to our listeners.  Her firm Trilogy Financial Services will provide you with an Investment Audit which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. The number to call is 858.314.5169. That is 858.314.5169 for your free investment audit by Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

Stay tuned because after the break we are going to tell you some important summertime tax tips that can help you avoid tax problems with IRS.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back.  This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

And in the studio with me I have as my special guest Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

Calling into the studio from my Walnut Creek Office is my associate attorney, Amy Spivey.

Chit chat with Amy

IRS Summertime Tax Tips

Starting July 1^st, the IRS began offering its Summertime Tax Tip series which include useful information in English and Spanish. Tax Tip subscribers receive a new Tip via email three times a week during July and August. They also get a Tax Tip each weekday during the tax filing season. The IRS also issues Special Edition Tax Tips on important tax topics throughout the year.  Taxpayers can sign up for the IRS Tax Tips subscription through a free service on www.irs.gov. For this segment we have pulled some of these tips which we want to share with you and add our comments to them.

Don’t Overlook the Child and Dependent Care Tax Credit this Summer. IRS Special Edition Tax Tip 2015-12, June 15, 2015

Jeff states: Day camps are common during the summer months. Many parents pay for them for their children while they work or look for work. If this applies to you, your costs may qualify for a federal tax credit that can lower your taxes.

Amy states: Here are some tips to know about the Child and Dependent Care Credit.

1. Care for Qualifying Persons.  Your expenses must be for the care of one or more qualifying persons. Your dependent child or children under age 13 usually qualify.
2. Work-related Expenses.  Your expenses for care must be work-related. This means that you must pay for the care so you can work or look for work. This rule also applies to your spouse if you file a joint return. Your spouse meets this rule during any month they are a full-time student. They also meet it if they’re physically or mentally incapable of self-care.
3. Earned Income Required.  You must have earned income, such as from wages, salaries and tips. It also includes net earnings from self-employment. Your spouse must also have earned income if you file jointly. Your spouse is treated as having earned income for any month that they are a full-time student or incapable of self-care. This rule also applies to you if you file a joint return.
4. Joint Return if Married.  Generally, married couples must file a joint return. You can still take the credit, however, if you are legally separated or living apart from your spouse.
5. Type of Care.  You may qualify for it whether you pay for care at home, at a daycare facility or at a day camp.
6. Credit Amount.  The credit is worth between 20 and 35 percent of your allowable expenses. The percentage depends on the amount of your income.
7. Expense Limits.  The total expense that you can use in a year is limited. The limit is $3,000 for one qualifying person or $6,000 for two or more.
8. Certain Care Does Not Qualify.  You may not include the cost of certain types of care for the tax credit, including:
   • Overnight camps or summer school tutoring costs.
   • Care provided by your spouse or your child who is under age 19 at the end of the year.
   • Care given by a person you can claim as your dependent.
9. Keep Records and Receipts.  Keep all your receipts and records for when you file your tax return next year. You will need the name, address and taxpayer identification number of the care provider. You must report this information when you claim the credit on Form 2441, Child and Dependent Care Expenses.

Jeff states: Remember that this credit is not just a summer tax benefit. You may be able to claim it for qualifying care that you pay for at any time during the year.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment.  Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Tips to Help You Pay Your Tax Bill this Summer.  IRS Special Edition Tax Tip 2015-15, June 30, 2015

Jeff states: If you get a tax bill from the IRS, don’t ignore it. The longer you wait the more interest and penalties you will have to pay.

Amy states: Here are some tips to help you pay your tax debt and avoid extra charges:

1. Reply promptly.  After tax season, the IRS typically sends out millions of notices. Read it carefully and follow the instructions. If you owe, the notice will tell you how much and give you a due date. You should respond to the notice promptly and pay the bill to avoid additional interest and penalties.
2. Pay online.  Using an IRS electronic payment method to pay your tax is quick, accurate and safe. You also get a record of your payment. Go to IRS.gov which will direct you to these services.  The options of Direct Pay and EFTPS are free services. If you pay by credit or debit card, the payment processing company will charge a fee.
3. Apply online to make payments.  If you are not able to pay your tax in full, some taxpayers are eligible to apply for an installment agreement using the Online Payment Agreement Application on IRS.gov. However, for taxpayers who are self-employed and do not have a steady source of income or taxpayers who have special cirumstances, this option may not be appropriate and you should consider consulting with a tax professional.
4. Check out a direct debit plan.  Regardless of who requests an installment agreement with IRS, a direct debit installment agreement is the lower-cost hassle-free way to pay. The set-up fee is less than half of the fee for other plans. The direct debit fee is $52 instead of the regular fee of $120. With a direct debit plan, you pay automatically from your bank account on a day you set each month. There is no need for you to write a check and make a trip to the post office. There are no reminder notices from the IRS and no missed payments.
5. Pay by check or money order.  Make your check or money order payable to the U.S. Treasury. NOT TO THE IRS! Be sure to include:
   • Your name, address and daytime phone number
   • Your Social Security number or employer ID number for business taxes
   • The tax period and related tax form, such as “2014 Form 1040”

Mail it to the address listed on your notice. Do not send cash in the mail.

Jeff states: And as Amy said if you are self-employed and do not have a steady source of income or you have special circumstances or you just need help in reaching a resolution on your unpaid taxes you need to contact us.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment.  Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Thanks Amy for calling into the show.  Amy says Thanks for having me.

Stay tuned as we will be taking some of your questions. You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back.  This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

And in the studio with me I have as my special guest Licensed Financial Planner, Windus A. Fernandez Brinkkord, Senior Vice President Of Investments at Trilogy Financial Services.

Jeff states: If you would like to post a question for me to answer, you can go to my website at www.kahntaxlaw.com and click on “Radio Show”.  You can then enter your question and maybe it will be selected for a future show.

OK Windus, so you have the honors of reading off this weeks questions for me to answer?

1. Carlos from Chula Vista asks: Hi Jeff I listen to your show all the time and hear you say that you are Board Certified in Tax – what does that mean?

An attorney who is Board Certified by the California Board of Legal Specialization in Tax Law must have demonstrated a broad based knowledge of statutes (primarily federal) dealing with the imposition and collection of taxes. The attorney must also have advised clients concerning their rights and responsibilities regarding taxes, the proper taxation transactions, and the procedure for contesting proposed and assessed taxes

To become Board Certified in Tax Law, an attorney must have:

1. Been licensed to practice law for at least five (5) years;
2. Devoted a required percentage of practice to tax law for at least five (5) years;
3. Handled a wide variety of tax law matters to demonstrate experience and involvement;
4. Attended tax law continuing education seminars regularly to keep legal training up to date;
5. Been evaluated by fellow lawyers and judges;

Passed a day-long written examination.

Initial certification is valid for a period of five (5) years. To remain certified, an attorney must apply for recertification every five years and meet practice, peer review and continuing legal education requirements for the specialty field.

The consumer can identify a Tax Law Board Certified attorney in one of many ways. A Tax Law Certified attorney is entitled to indicate certification on business cards and letterhead by stating “Board Certified-Tax Law”. The attorney may also display the certification in legal directories and telephone listings under “Attorneys-Board Certified.”

The California Board of Legal Specialization was created by, and operates under the authority of, the State Bar of California.

2. Barbara from Los Angeles asks: I am getting ready to file my 2014 which will have a balance due that I cannot pay in full. What can I do?

Here are four alternative options you may want to consider:

1. Additional Time to Pay Based on your circumstances, you may be granted a short additional time to pay your tax in full – usually 60 to 120 days. Taxpayers are granted this relief will pay less in penalties and interest than if the debt were repaid through an installment agreement over a greater period of time.
2. Installment Agreement You can apply for an IRS installment agreement before your current tax liabilities are actually assessed. Remember that the sooner you start making payments, the less in penalties and interest you will be paying to the IRS.
3. Pay by Credit or Debit Card You can pay your Federal taxes by credit or debit card. IRS accepts all major cards (American Express, Discover, MasterCard, or Visa). Keep in mind that there is no IRS fee for credit or debit card payments, but the third-party processing companies charge a convenience fee or flat fee. If you are paying by credit card, the service providers charge a convenience fee based on the amount you are paying. If you are paying by debit card, the service providers charge a flat fee of $3.89 to $3.95. If following this option, do not add the convenience fee or flat fee to your tax payment.
4. Offer In Compromise An offer in compromise allows you to settle your tax debt for less than the full amount you owe. It may be a legitimate option if you can’t pay your full tax liability, or doing so creates a financial hardship. The IRS will consider your unique set of facts and circumstances:

• Ability to pay;
• Income;
• Expenses; and
• Asset equity.

Beware that not everyone will qualify for an Offer in Compromise program so you will want to check first with a tax professional.

3. John from San Francisco asks: Why does the IRS file tax liens?

A federal tax lien is the government’s legal claim against your property when you neglect or fail to pay a tax debt. The lien protects the government’s interest in all your property, including real estate, personal property and financial assets.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment.  Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Thanks Windus for joining me today.  Windus says Thanks for having me.

Well we are reaching the end of our show.

You can reach out to me on Twitter at kahntaxlaw.  You can also send us your questions by visiting the kahntaxlaw website at www.kahntaxlaw.com.  That’s k-a-h-n tax law.com.

Have a great day everyone!

Topics Covered:

1. Welcome to a new era of transparency where the IRS is getting information on U.S. taxpayers from foreign banks and the IRS is taking action by examining and investigating taxpayers who are not reporting their worldwide income nor disclosing their foreign accounts.
2. Breaks IRS is providing to waive penalties for U.S. taxpayers with undisclosed foreign bank accounts.
3. The top ten tax problems that taxpayers face with the IRS.
4. Questions from our listeners:
   • Why should I hire the Law Offices Of Jeffrey B. Kahn, P.C. for my IRS tax problem instead of using a local CPA or a general attorney?
   • I have unfiled tax returns so what should I do?
   • I can’t pay the IRS what I owe, what are my options?

**********************************************************************

Yes we are all working for the tax man!

Good afternoon! Welcome to the KahnTaxLaw Radio Show

This is your host Board Certified Tax Attorney, Jeffrey B. Kahn, the principal attorney of the Law Offices Of Jeffrey B. Kahn, P.C. and head of the KahnTaxLaw team.

You are listening to my weekly radio show where we talk everything about taxes from the ESPN 1700 AM Studio in San Diego, California.

When it comes to knowing tax laws and paying taxes, let’s face it — everyone in the U.S. is either in tax trouble, on their way to tax trouble, or trying to avoid tax trouble!

It is my objective to make you smarter so that you legally pay the least tax as possible, avoid tax problems and be aware of the strategies and solutions if you are being targeted by the IRS or any State tax agency.

Our show is broadcasted each Friday at 2:00PM Pacific Time and replays are available on demand by logging into our website at www.kahntaxlaw.com.

I have a lot to cover today in the world of taxes and helping me out will be my associate attorney Amy Spivey who will be calling in later.

Its been about one year since we entered into a new era of transparency where the IRS is getting information on U.S. taxpayers from foreign banks and the IRS is taking action by examining and investigating taxpayers who are not reporting their worldwide income nor disclosing their foreign accounts.

Many people thought that forever they can keep their foreign accounts a secret – not just from their creditors and spouses but also from the IRS.

Little do they know that we are in a new era.

Starting July 1, 2014, the U.S. government is imposing 30% taxes on many overseas payments to financial institutions that don’t share information with the IRS.

That means that any non-compliant bank which invests in the U.S. will be getting a 30% haircut on distributions and income from U.S. investments.

This new burden has frustrated overseas banks and U.S. expatriates. It’s also created a new standard of global bank-to-government information sharing designed to throw light on often difficult-to-trace accounts.

But under the 2010 Foreign Account Tax Compliance Act, or as it is widely known as FATCA, this law allows the U.S. to scoop up data from more than 77,000 financial institutions and 80 governments about U.S. taxpayers’ overseas financial activities.

What led to the enactment of FATCA in 2010 was the inability of federal tax authorities to obtain clear information about financial accounts that U.S. taxpayers have outside the country. That’s especially important for the U.S., because unlike many other countries, the U.S. taxes citizens on their worldwide income regardless of where they actually live.

In establishing FATCA, Congress and President Obama in effect threatened to cut off banks and other companies from easy access to the U.S. market if they didn’t pass along such information. The U.S. was able to leverage its status as a stable major financial center to demand action from governments and banks in other countries.

You would expect that with a Republican-led Congress and a Democrat President, any proposed legislation would be stuck in the quagmire of politics. But not so with FATCA. This proposed legislation was barely debated when Congress in 2010 passed it as a budgetary offset to a tax credit for hiring. Why did it pass so easily? Because FATCA is projected to raise $8.7 billion in revenue over the next 10 years!

Since passing FATCA in 2010, an even more robust Republican-led Congress has felt no need to address this legislation again, although the Republican National Committee voted in favor of repeal.

So since it should be clear that FATCA is here to stay, what is this law all about and how does it affect us taxpayers?

Withholding Tax

Under FATCA, U.S. banks and other companies making certain cross-border payments — such as interest and dividends — to foreign financial institutions must withhold a 30% tax if the recipient isn’t providing information about its U.S. account holders.

FATCA was enacted with phases of compliance to give foreign institutions time to refine their systems and certify to the IRS compliance in reporting U.S. accountholders to the IRS. These later phases of the law will apply to a broader set of cross-border payments, such as gross proceeds from stock sales. Many non-financial companies will be affected, too. The phases of the law were scheduled to be in full effect by 2015 and the IRS is pleased to announce that FATCA is fully implemented and in full force.

FATCA has prompted more than 77,000 foreign financial institutions to register for the program to avoid the withholding tax. As a result of that compliance, the IRS doesn’t expect to collect much direct revenue from the 30% levy. But the IRS expects to collect a lot more from U.S. taxpayers.

Direct Disclosure

So far, the U.S. has reached final or provisional agreements with more than 80 jurisdictions, allowing for government-to-government information exchange or streamlined business-to-government exchanges.

The list includes jurisdictions that often are labeled as tax havens, such as the British Virgin Islands, the Cayman Islands and Guernsey. It also includes most of the world’s major economies, such as Germany, Japan, Canada and the U.K.

Some U.S. Taxpayers Are Renouncing Citizenship

But some expatriates would rather renounce their U.S. citizenship than tolerate the requirements under FACTA and the lack of access to local foreign banks that are refusing American customers or placing additional restrictions on them

In 2013, 2,999 Americans renounced citizenship, the highest number on record. This is a trend that has been on the rise since 2010 when FATCA became law. Because these Americans know that as the account information comes into the U.S., the focus shifts to the IRS which will use the data to guide its investigations into offshore tax evasion.

Bankers, Lawyers

The U.S. continues to go after foreign banks and their officials for their involvement in assisting U.S. taxpayers to evade taxes. The U.S. has used prosecutions against Credit Suisse, UBS and other major foreign banks to get information on Americans hiding overseas accounts.

Prosecutors have charged more than 70 U.S. taxpayers and three dozen bankers, lawyers and advisers in their crackdown on offshore tax evasion.

It should be clear that FATCA is here to stay. IRS Commissioner John Koskinen has put enforcement against taxpayers with undisclosed foreign bank accounts on the top of his agency’s list. And so it is time for you to come forward before it is too late.

Well it’s time for a break but stay tuned because we are going to tell you the breaks IRS is providing to waive penalties for U.S. taxpayers with undisclosed foreign bank accounts.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back. This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

Calling into the studio from our Walnut Creek Office is my associate attorney, Amy Spivey.

Chit chat with Amy

Jeff states: Despite the rhetoric by IRS threatening U.S. Taxpayers with harsh penalties, I hear that the IRS is looking to waive penalties for some Americans living abroad who haven’t been paying US taxes. Amy what is the deal here?

Amy says: The Internal Revenue Service is offering to waive steep penalties for Americans living abroad who haven’t been paying their U.S. taxes.

But there is a catch: You have to be able to show that you didn’t evade U.S. taxes on purpose.

American citizens living abroad are required to file U.S. tax returns, even if they keep all their money overseas. Similarly, U.S. citizens living in the United States are required to tell the IRS about any accounts they have in foreign banks.

The penalties for not reporting these accounts are stiff. If there is more than $10,000 in an unreported account, the IRS can impose penalties of $100,000 or even more if the accounts are really big.

Jeff asks: So what is the IRS doing to encourage taxpayers to come forward?

Amy says: The IRS announced a program on June 18, 2014 that would largely waive these penalties if taxpayers come forward and show that they didn’t hide the money on purpose.

Americans living abroad can have all penalties waived, if they file three years’ worth of tax returns and pay any back taxes.

Americans living in the U.S. can come clean by disclosing overseas accounts and paying a penalty equal to 5% of the account’s assets.

For people who are willfully evading U.S. taxes, the IRS is tweaking an existing program that imposes stiff penalties for people who come forward, but allows them to escape criminal prosecution.

Jeff asks: So what is considered to be non-wilful conduct?

Amy: “Non-willful conduct is conduct that is due to negligence, inadvertence or mistake, or conduct that’s the result of a good-faith misunderstanding of the requirements of the law.” The application of this standard will vary based on each person’s facts and circumstances so I suggest that one consult with experienced tax counsel.

Jeff says: And that is where we come in. The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Jeff asks: Is there any tax advantages that Americans living abroad gain by making voluntary disclosure?

Amy replies: The disclosure program is a particularly good deal for Americans living in countries with higher tax rates than the U.S.

Typically, U.S. citizens living abroad must file a U.S. tax return and pay U.S. taxes on all income, regardless of where it is earned. However, they can deduct taxes paid to a foreign government from their U.S. tax bill.

Jeff asks: When did the U.S. start stepping up its efforts to crack down on people who are willfully hiding assets overseas?

Amy replies: I would say that it started in 2009 when the IRS started its first voluntary disclosure program in a series of programs to encourage people to come clean. In general, people who come forward can escape criminal prosecution in exchange for paying reduced penalties and back taxes.

The IRS has stated that more than 50,000 people have come forward so far, paying more than $6.5 billion in taxes, interest and penalties.

Jeff asks: For taxpayers who have undisclosed foreign bank accounts, how quickly must they act to come forward to get the benefits under one of the voluntary disclosure programs including the new streamlined procedures?

Amy replies: If the IRS has initiated a civil examination of a taxpayer’s returns for any taxable year, regardless of whether the examination relates to undisclosed foreign financial assets, the taxpayer will not be eligible to use the streamlined procedures.   Similarly, a taxpayer under criminal investigation by IRS Criminal Investigation is also ineligible to use the streamlined procedures.

Jeff asks: How far back do taxpayers have to go to correct the past problems of not disclosing foreign accounts and foreign income?

Amy replies: Well it depends on which voluntary disclosure program they are entering into, when did they first acquire or start the foreign accounts, and when they first became U.S. persons for tax purposes.

Usually the disclosure period would not be longer than the last 8 years but in some instances it could be as short as the last three 3 years.

Jeff asks: Is it possible to avoid going through a voluntary disclosure program and just file the amended income tax returns and delinquent FBAR’s?

Amy replies: The IRS calls that as a “Quiet Disclosure” and claims that any taxpayer who follows this route will be picked by the IRS and their case will be investigated. That being the case, you do not get any benefits of voluntary disclosure, you cannot get into any of the voluntary disclosure programs, and the filings you made will be used against you by IRS to assess the maximum penalties provided by law and perhaps even be referred for criminal prosecution.

Jeff asks: So is it looking for 2015?

Amy replies: Well is it getting harder for Americans to hide assets overseas. As part of FATCA, more than 77,000 foreign banks from about 70 different countries have started sharing detailed information about U.S. account holders with the IRS. This effort is part of a global crackdown on overseas tax evasion.

Jeff says: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Stay tuned because after the break we are going to tell you the top ten tax problems that taxpayers face with the IRS.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back. This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

And on the phone from our Walnut Creek office I have my associate attorney, Amy Spivey.

Jeff says: OK Amy so you have given me the list of the Top 10 IRS Tax Problems facing taxpayers. Lets go through this list. I will let you read of each item.

1. Liens – Jeff says: Once the IRS assesses tax against you, they are required to give you a notice and demand of payment within 60 days. If you fail to pay, the IRS will send you a Notice of Federal Tax Lien. This public notice attaches to all your assets. The lien establishes the IRS as a secured creditor. This gives them the ability to seize your assets. However, there are different things and programs available that experienced tax counsel may qualify you for to get the IRS to withdraw, discharge or subordinate the federal tax lien.

2. Wage levies – Jeff says: The IRS will mail you a Notice of Intent to Levy. You have 30 days from the date on the letter before they can levy your wages. The IRS can levy your entire paycheck and it will attach to each and every pay check until a release is issued. If a levy has been placed on your wages, you cannot let this sit – you need to contact experienced tax counsel immediately for tax relief.

3. Bank levy – Jeff says: Again, the IRS will mail you a Notice of Intent to Levy. You have 30 days from the date on the letter before they can levy your bank account. The IRS will seize all of the funds from your account upon notice of levy. However, the law provides for a twenty one day waiting period before the funds are surrendered to the IRS. If you do not get your IRS problem resolved within this 21 day period, the IRS will take all of the money in the bank account. Only in rare cases will the IRS return these funds. If a levy has been placed on your bank account, you need to contact experienced tax counsel immediately for tax relief.

4. Levy on Accounts Receivable – Jeff says: For self-employed taxpayers and businesses, the IRS can levy your account receivables. Without these funds for day-to-day operations, you could be forced to shut down. Just like a bank levy, the IRS will take the entire amount so you need to contact experienced tax counsel immediately.

5. Property Seizures – Jeff says: The IRS can seize and auction your home, automobile, real estate, inventory, business equipment, or any other tangible asset. Proceeds from the auction are applied to the tax liability. If the sale proceeds are less than your tax liability, you will still be liable for the remaining unpaid tax. If you have received a Notice of Seizure, you need to contact experienced tax counsel immediately.

Jeff says: It is important that you don’t ignore these IRS notices. The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

6. Payroll Taxes – Jeff says: Employers are required to withhold and deposit federal income and social security taxes from each employee’s paycheck. The IRS is extremely aggressive when it comes to the collection of payroll taxes. The IRS may even assess some of these taxes personally against the corporate officers or employers so you need to contact experienced tax counsel immediately to represent you in these types of problems.

7. Unfiled Returns – Jeff says: When dealing with the IRS, filing delinquent tax returns is step one. The IRS will not release levies, consider an Offer in Compromise or Installment Agreement until you have filed all delinquent tax returns. To become a tax compliant filer, you will need to file at least the previous six years tax returns.  You should contact experienced tax counsel to help prepare these delinquent tax returns and to deal with the IRS.

8. Substitute Tax Returns – Jeff says: If the IRS has filed a substitute tax return on your behalf, it may be in your best interest to file an original return yourself. The IRS prepares the substitute tax returns using the harshest tax rates and zero deductions which often times leave you with an inflated tax bill. The IRS closely inspects these types of original returns and may audit it before acceptance.  To ensure you are getting all the tax benefits you are legally entitled to it is a good idea to contact experienced tax counsel for this work.

9. Penalties & Interest – Jeff says: The IRS will assess penalties and interest for many reasons. The most common are failure to file tax returns and failure to pay the tax owed. Interest compounds daily and penalties are as much as 50% or more of the taxes owed. The IRS will abate penalties under certain circumstance so it is a good idea to contact experienced tax counsel for this work.

10. Audits – Jeff says: Because the IRS can audit specific line items on the return or the entire tax return, communication during an audit is vital. It will help make the process run smooth and could help save you money. Audits can take as little as a couple of weeks or as much as a couple of years. Typically the shorter the audit is, the better the outcome will be. Planning before the audit begins is the most important part of the process so contact experienced tax counsel immediately if you received an audit examination notice.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Stay tuned as we will be taking some of your questions. You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

BREAK

Welcome back. This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team along with my associate attorney, Amy Spivey.

If you would like to post a question for us to answer, you can go to our website at www.kahntaxlaw.com and click on “Radio Show”. You can then enter your question and maybe it will be selected for our show.

OK Amy, what questions have you pulled from the kahntaxlaw inbox for me to answer?

Question for Jeff:

Dianne from Riverside asks: Why should I hire the Law Offices Of Jeffrey B. Kahn, P.C. for my IRS tax problem instead of using a local CPA or a general attorney?

Jeff says: Considering our IRS insider knowledge, experience and customized procedures, the attorneys and professional staff at that Law Offices Of Jeffrey B. Kahn have effectively resolved a wide range of tax issues more than CPAs or general attorneys will handle in their career. Can you trust you will get the outcome you need from your tax problem with someone who occasionally handles a tax resolution case? My team routinely handles tax resolutions including you being audited, or the subject of an investigation or facing collection action. This is what we do.

Richard from San Diego asks: I have unfiled tax returns so what should I do?

Jeff says: The best thing you can do is file your tax return as soon as possible. The IRS will eventually find out that you haven’t paid taxes through employers, contractors, mortgage holders or the assets that you purchase. The longer you go without paying taxes, the more fines you will have to pay. If you can’t pay all of your taxes, you may be able to qualify for an Offer in Compromise, Installment Agreement or Currently Not Collectible Status. With the information we can get from IRS and your tax documentation, we can prepare previous years of unfiled tax returns and propose a resolution to the IRS. Also, if you can’t find some of the documentation, we can help.

Dan from Los Angeles asks: I can’t pay the IRS what I owe, what are my options?

Jeff says: If you are not financially capable of paying back the IRS, you may be able to negotiate an Offer in Compromise, where you can settle your back taxes for less than you owe. If the IRS accepts your offer, you can pay the amount agreed upon, and all federal tax liens or levies are removed.

Negotiating an Offer in Compromise can take up to 18 months and be very complicated. The IRS makes it hard for lay people to get an Offer in Compromise on their own. About a quarter of all offers are accepted so it is highly recommended that you hire us to help.

The next best option is entering into payment plan with IRS. There are different types of payment plans and so the only way you know which is the best plan for you is to consult with us. The worst thing to do is to get into a plan with the IRS that you cannot afford to keep and go into default.

Another option is to get the IRS to put a taxpayer in uncollectible status. This option does not make the liability go away but does allow a period of time where the IRS will not require payments to be made and you need not worry about collection action.

These options are also available if you have outstanding balances with any State tax agency.

Remember, the Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Thanks Amy for calling into the show. Amy says Thanks for having me.

Well we are reaching the end of our show.

You can reach out to me on Twitter at kahntaxlaw. You can also send us your questions by visiting the kahntaxlaw website at www.kahntaxlaw.com. That’s k-a-h-n tax law.com.

Have a great day everyone!

Topics Covered:

1. Data Breach Jeopardizes Security Of Big Data Possessed By IRS

2. Four Ways That Returns Are Selected for Examination

3. How the IRS is matching Big Data to your tax return and selecting you for audit.

4. Questions from our listeners:

a. Why Should I Only Use A Tax Attorney For Representation In A Criminal Tax Investigation?

b. How long should I keep my tax papers?

c. How long should I worry if I haven’t filed tax returns that I should have filed?

d. If I can’t pay my taxes, should I file my return anyway?

Yes we are all working for the tax man!

Good afternoon! Welcome to the KahnTaxLaw Radio Show

This is your host Board Certified Tax Attorney, Jeffrey B. Kahn, the principal attorney of the Law Offices Of Jeffrey B. Kahn, P.C. and head of the KahnTaxLaw team.

You are listening to my weekly radio show where we talk everything about taxes from the ESPN 1700 AM Studio in San Diego, California.

When it comes to knowing tax laws and paying taxes, let’s face it — everyone in the U.S. is either in tax trouble, on their way to tax trouble, or trying to avoid tax trouble!

It is my objective to make you smarter so that you legally pay the least tax as possible, avoid tax problems and be aware of the strategies and solutions if you are being targeted by the IRS or any State tax agency.

Our show is broadcasted each Friday at 2:00PM Pacific Time and replays are available on demand by logging into our website at www.kahntaxlaw.com.

I have a lot to cover today in the world of taxes and helping me out will be my associate attorney Amy Spivey who will be calling in later.

Data Breach Jeopardizes Security Of Big Data Possessed By IRS

The IRS announced recently that criminals used taxpayer-specific data acquired from non-IRS sources to gain unauthorized access to information on approximately 100,000 tax accounts through IRS’ “Get Transcript” application. This data included Social Security information, date of birth and street address.

For those of you who are not familiar with the “Get Transcript” application, it is a self-help service created by the IRS where taxpayers and their authorized representatives can get taxpayer account information through the IRS computers without the assistance of IRS personnel. In light of the IRS budget cuts, the IRS has been working on creating these self-help systems to reduce the personal needed at IRS call centers and IRS walk-in centers and thus save costs. During this past filing season, taxpayers successfully and safely downloaded a total of approximately 23 million transcripts.

Unfortunately, putting self-help systems in place without solid security features could lead to bigger problems and opportunity to defraud the government. And this is what happened over the past few months when third parties gained sufficient information from an outside source before trying to access the IRS site, which allowed them to clear a multi-step authentication process, including several personal verification questions that typically are only known by the taxpayer.

This apparent data breach is under review by the Treasury Inspector General for Tax Administration as well as the IRS’ Criminal Investigation Division. The IRS has identified 200,000 total attempts to access data and will be notifying all of these taxpayers about the incident. And for those 100,000 or so taxpayers whose accounts were accessed, the IRS announced it will provide free credit monitoring services.

The IRS And Big Data.

With the next tax filing or estimated tax payment deadline coming up, you may have spent the last few days thinking hard about your taxes, but the IRS has been doing so for years – positioning itself as a leader in using big data.

Each year, April 15^th is a memorable date for those of us in the United States – this is the deadline to file our taxes or to file an extension to delay filing a tax return to October 15^th. June 15^th is the deadline for your next estimated tax payment and June 30^th is the deadline to file an FBAR.

It is clear that the IRS is the dominant government agency in the United States. After all if there are no taxes, there can be no government. Politicians know this and over the decades have ensured that the IRS has all the powers it needs to raise federal taxes from the citizens, residents, and even tourists who stay long enough in the United States.

U.S. citizens cannot even escape U.S taxation by leaving the country because the tax law requires U.S. citizens who currently earn more than $9,750 to file even if they don’t live in the country. Even if you renounce your citizenship, as 3,805 did in 2011, you still have to pay an exit tax of 15% on all your assets including investments, homes, and even your personal possessions.

Extensive data collection

To keep track of this, the IRS has one of the most extensive data collections in the world. Traditionally its power to enforce has come through the matching of data. For example, you received a W-2 Form from your employer showing how much you earned. That same form is submitted by your employer to the IRS. Now the IRS can match your return to that form to make sure you are reporting the income. The same thing goes for 1099 forms showing your earnings from miscellaneous income, gambling winnings, interest and dividend income, sales of assets, deductions, and so on.

But the IRS is not stopping here. The IRS has signed a $650 million ten-year contract with Unisys to further develop Big Transaction Processing Data whereby the IRS is using Unisys ClearPath Dorado Servers running at an estimated 1,200 MIPS to process tax returns.

For those of you who are not techie’s, MIPS is a measure of a computer’s central processing unit performance and its stands for “Million Instructions Per Second”. These servers will reside selected IRS Data Centers alongside several IBM z/196 mainframes, capable of running at an estimated 8,000 MIPS. Along with all this processing power are extensive data storage capabilities which will be managed in the IRS’ private cloud. It is estimated that IRS has 7.5 Petabytes of data. By the way just one Petabyte is equivalent to 1 quadrillion bytes.

Data from social media

But the IRS is not just stopping with Big Data Transactions, the IRS is now pursuing Big Data Social Media Analytics just like Google.

But unlike the normal corporate big data analytics, the IRS has one big advantage: It knows everyone’s social security numbers, as well as all the tax information from the firms we as taxpayers interact with, and as such the IRS can join the dots between Google, EBay, LinkedIn, Facebook, Yelp, Twitter, and perhaps your PayPal and credit card accounts along with your emails to overseas bankers.

And speaking of offshore banks, the IRS has been collecting information from the offshore banks on their U.S. accountholders and account characteristics so that by identifying an account number with a foreign bank, the IRS knows what type of account it is and when it was opened. That information becomes relevant when the IRS computers are scouring tax return information to verify foreign income is being reported and foreign accounts being disclosed.

So while none of us enjoys doing or paying our taxes we as taxpayers can be comforted by knowing that the government is at the forefront of the big data revolution. Let’s just hope that the government can also comfort us that it is safeguarding our information.

Well it’s time for a break but stay tuned because we are going to tell you the different ways that returns are selected for examination.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show on ESPN.

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Welcome back. This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

Calling into the studio from our Walnut Creek Office is my associate attorney, Amy Spivey.

Chit chat with Amy

Jeff states: Before I continue with Amy, I must say that the overwhelming majority of taxpayers file returns and make tax payments timely and accurately. As such taxpayers have a right to expect fair and efficient tax administration from the IRS, including verification that taxes are correctly reported and paid with enforcement actions against those who fail to comply voluntarily.

Jeff says: And so if your tax returns are selected for examination you should contact the Law Offices Of Jeffrey B. Kahn. We will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention The KahnTaxLaw Radio Show when you call to make an appointment. The number to call is 866.494.6829. That is 866.494.6829.

Four Ways That Returns Are Selected for Examination

So Amy, I understand that there are four main ways that the IRS selects returns for examination. I will read off each one and let you tell our audience more.

1. Potential participants in abusive tax avoidance transactions — Some returns are selected based on information obtained by the IRS through efforts to identify promoters and participants of abusive tax avoidance transactions. Examples include information received from “John Doe” summonses issued to foreign and domestic banks, credit card companies, businesses and participant lists from promoters ordered by the courts to be turned over to the IRS.

2. Computer Scoring — Some returns are selected for examination on the basis of computer scoring.  Computer programs give each return numeric “scores”. The Discriminant Function System (DIF) score rates the potential for change, based on past IRS experience with similar returns. The Unreported Income DIF (UIDIF) score rates the return for the potential of unreported income. IRS personnel screen the highest-scoring returns, selecting some for audit and identifying the items on these returns that are most likely to need review.

3. Information Matching — Some returns are examined because payer reports, such as Forms W-2 from employers or Form 1099 interest statements from banks, do not match the income reported on the tax return. Starting this year the IRS is getting this same level of information from foreign banks who have U.S. account holders.

4. Related Examinations — Returns may be selected for audit when they involve issues or transactions with other taxpayers, such as business partners or investors, whose returns were selected for examination. In examinations that include undisclosed foreign bank accounts, the IRS will look for family relatives who may have the same involvement in foreign accounts and also failed to make the proper disclosures.

Jeff asks Amy, how does one find out if the IRS does select your tax return for examination?

Amy states: This is where one must be careful because there are scammers out there who are calling people saying they are the IRS and threatening them with arrest and deportation unless they pay right away. If you are selected for an audit by the IRS, the initial contact will always be in the form of a letter sent by the assigned agent under official IRS letterhead.

Jeff asks: And what do these letters typically say?

Amy states: First it will give you the contact information of the agent and what IRS office the agent reports to.

Second it will tell you how the examination is to be conducted – this can be by mail, or through an in-person interview and review of the taxpayer’s records at the agent’s office or outside the agent’s office such as the taxpayer’s business.

Third it will tell you which years are being audited and what records will be needed. Taxpayers may act on their own behalf or have a tax professional represent or accompany them. 

Jeff asks Amy, so for those taxpayers who choose to have a representative, do you think their case is treated better by the IRS?

Amy replies, It’s unfair, even illegal, but it’s also human nature. IRS agents are flesh and blood and if they can get away with bullying someone into their interpretation of the law, they probably will. A tax lawyer can ensure the IRS is playing by the rules and treating you fairly. IRS investigators are much more careful about asking inappropriate questions or wasting your time with unnecessary requirements, if they know they are dealing with a tax professional.

Jeff asks Amy but will an IRS agent think that you are hiding something big if you hire a representative?

Amy replies, IRS agents have their own caseloads (usually at least 50 and sometimes as much as 75) and their supervisors will monitor how long a case is open which is why agents need to be most efficient with their time. For this reason IRS agents prefer dealing with tax professionals because they don’t have to waste their time and patience explaining you the ABCs of a tax audit or the basic IRS guidelines for a criminal investigation.

Jeff states, In fact, hiring an experienced tax attorney is generally seen as a sign of good faith to resolve your tax issues and the IRS’s own Declaration of Taxpayer Rights encourages taxpayers to hire tax counsel.

Jeff says: And that is where we come in. We highly recommend that you do not go into the IRS on your own. The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention The KahnTaxLaw Radio Show when you call to make an appointment. The number to call is 866.494.6829. That is 866.494.6829.

Stay tuned because after the break we are going to tell more about how the IRS is matching Big Data to your tax return and selecting you for audit.

You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team on the KahnTaxLaw Radio Show .

BREAK

Welcome back! You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

An on the phone from our Walnut Creek office I have my associate attorney, Amy Spivey.

How the IRS is matching Big Data to your tax return and selecting you for audit.

Jeff states: According to IRS estimates, in a calendar year employers, businesses, financial institutions, credit card companies and other third party payers will file 2.3 billion information statements. These information statements report income and financial transactions, and can help individuals and businesses prepare accurate tax returns. Using information-matching programs, the IRS compares third-party information statements with taxpayer data, and sends a notice to taxpayers when IRS systems detect inconsistencies.

Amy, please tell us how several of these programs work.

Individual Automated Underreporter (AUR) program

This matching program is better known by its primary notice: CP2000, Notice of Proposed Adjustment for Underpayment/Overpayment. IRS systems automatically send this notice when items reported on Form 1040, U.S. Individual Income Tax Return, don’t match information reported to the IRS by employers and other payers. The first round of these notices arrives just after Thanksgiving, and the second round arrives toward the end of the next year’s filing season.

The CP2000 notice has been a mainstay of IRS information reporting for decades. In 2012, the IRS issued more than 4.5 million CP2000 notices, with an average of $1,572 in additional taxes owed.

So Amy, what other matching programs has the IRS employed?

Form 1099-K merchant card transaction matching program

In 2012, the IRS started receiving from credit card companies, Forms 1099-K, Payment Card and Third Party Network Transactions. With merchant card transactions now being reported to IRS, the IRS quickly began using this information to match against business returns. However, because businesses do not specifically report merchant card transactions as separate line items on business tax returns, the IRS can only infer potential underreporting.

Jeff asks: Amy could you clarify for our listeners what this means?

Amy states: For example, if a business has a disproportionate amount of cash to credit/debit card sales, based on its line of business, the IRS may look closer. These kinds of mismatches have led the IRS to develop compliance initiatives, including “soft” notices requesting explanation and mail audits requesting documentation.

The IRS is developing a Form 1099-K matching initiative that will make the IRS more efficient in identifying problem tax returns. But for now many initial notices indicate that the IRS is focusing on underreporting cases in which merchant card payments appear to make up the majority or even exceed the total business receipts reported on the return. In these cases, the IRS perceives that the business is underreporting cash sales due to the disproportionate share of merchant card payments. Accrual-basis taxpayers and e-commerce businesses whose receipts do not neatly match merchant card transactions are likely early targets in this program and we have had our share of this cases where that is what happened.

Jeff says: So if you receive one of these notices it is important that you don’t ignore it. We have a special offer for our The KahnTaxLaw Radio Show listeners. The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention The KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego. The number to call is 866.494.6829. That is 866.494.6829.

Jeff asks: Amy what type of matching does the IRS do where a tax return does not get filed?

Amy replies:

Automated Substitute for Return program

When a taxpayer does not file and the IRS has information statements indicating a filing requirement, the IRS uses the data to file a return on behalf of the taxpayer if there is a projected balance owed. In 2012, the IRS used information statements to file 803,000 returns for taxpayers, totaling $6.7 billion in additional taxes owed. And the sad thing about this is in just about every case, the amount actually owed when a tax return is filed by the taxpayer is much lower than what the IRS says a non-filer taxpayer owes. We have cases where the IRS ended up owing our clients money.

Jeff asks: Amy, where in the future is the IRS going with their use of Big Data?

Amy replies: The IRS has been getting a lot of help from Congress where Congress has expanded the IRS’ reach to access more information to enforce compliance and implement new legislation.

Jeff asks: And I bet that you have some examples of new powers enacted by Congress that have been bestowed on the IRS.

Amy replies:

1. FATCA – Foreign Account Tax Compliance Act.

This legislation became law in 2010. Starting in 2014, the IRS will have the ability to match taxpayers’ returns against the information it receives on U.S. taxpayers with accounts at foreign financial institutions. The IRS will likely scrutinize taxpayers who have not filed the required Form 8938, Statement of Specified Foreign Financial Assets, or FinCen Form 114, Report Of Foreign Bank Account (commonly known as “FBAR”). Our office has a lot of cases representing taxpayers with undisclosed foreign bank accounts – it is a hot issue with IRS.

2. Patient Protection and Affordable Care Act (“Obama Care”)

As this Act is implemented in the next several years, the IRS will start using information statements for individual and employer compliance with the Act’s mandates. Starting in 2012, employers reported the value of employer-provided health insurance on Forms W-2, Wage and Tax Statement, to inform taxpayers of the value of their health insurance coverage. In 2015, the IRS will also receive information from health insurance companies on employee coverage, including the name and identifying information of the employer. The IRS can use the information to identify and penalize individuals and employers for noncompliance with Obama Care mandates.

Jeff states: A recent U.S. Government Accountability Office study showed that the IRS spends $267 million on underreporter matching programs, compared with the $4.2 billion it spends on audits. But automated information-matching programs return almost six times more revenue than audits. You can see why with fewer IRS agents and reduced budgets, the IRS will increasingly rely on technology-driven matching programs to bring in more tax dollars.

Jeff says: And so we have a special offer for our The KahnTaxLaw Radio Show listeners. The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention The KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet Jeffrey Kahn right here in downtown San Diego. The number to call is 866.494.6829. That is 866.494.6829.

Stay tuned as we will be taking some of your questions. You are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team.

BREAK

Welcome back. This is KahnTaxLaw Radio Show on ESPN and you are listening to Jeffrey Kahn the principal tax attorney of the kahntaxlaw team along with my associate attorney, Amy Spivey.

If you would like to post a question for us to answer, you can go to our website at www.kahntaxlaw.com and click on “Radio Show”. You can then enter your question and maybe it will be selected for our show.

OK Amy, what questions have you pulled from the kahntaxlaw inbox for me to answer?

Question: Why Should I Only Use A Tax Attorney For Representation In A Criminal Tax Investigation?

Answer: When it comes to tax planning, business budgeting and asset management, a CPA is – all things being equal – more useful than a tax attorney is. But when you have a dispute with the IRS, especially if you’re accused of tax fraud or tax evasion, a tax attorney is the only intelligent choice. Tax attorneys are the only ones who can represent you in a court of law and provide you the legal advice and analysis you need. Anything discussed with your tax attorney is protected under the attorney-client privilege. Unlike CPA’s and accountants, attorneys cannot be subpoenaed to testify against a client in a criminal procedure.

Question: How long should I keep my tax papers?

Answer: At least three years, but six years is preferable. The IRS has three years after you file a tax return to complete an audit. For example, if you filed on April 15, 2006, for 2005, keep those records until at least April 16, 2009.

The IRS can audit you for up to six years if it suspects that you underreported your income by 25% or more. If the IRS suspects fraud, there is no time limit for an audit, although audits beyond six years are extremely rare.

Keep records of purchases of real estate, stocks, and other investments for at least three years after the tax return reporting their sale was filed.

Question: How long should I worry if I haven’t filed tax returns that I should have filed?

Answer: At least six years. The government has six years from the date the nonfiled return was due to criminally charge you with failing to file. There is no time limit, however, for assessing civil penalties for not filing. If you didn’t file for some year long ago – say 1995, you still have an obligation if you owed taxes for that year. Not until you actually file a return does the normal audit time limit—three years—and collection time limit—ten years—start to run.

Don’t over worry about a nonfiled return due more than six years ago if you haven’t heard from the IRS. The IRS usually doesn’t go after nonfilers after six years—unless the IRS began its investigation before the six years elapsed. After six years, the IRS transfers its computer files to archives for storage.

Question: If I can’t pay my taxes, should I file my return anyway?

Answer: Yes. Filing saves you from the possibility of being criminally charged or, more likely, from being hit with a fine for failing to file or for filing late. Interest continues to build up until you pay. Of course, filing without paying will bring the IRS collector into your life, but she’ll be friendlier if she doesn’t have to hunt you down. The sooner you start filing, the better.

PLUG: The Law Offices Of Jeffrey B. Kahn will provide you with a Tax Resolution Plan which is a $500.00 value for free as long as you mention the KahnTaxLaw Radio Show when you call to make an appointment. Call our office to make an appointment to meet with me, Jeffrey Kahn, right here in downtown San Diego or at one of my other offices close to you. The number to call is 866.494.6829. That is 866.494.6829.

Thanks Amy for calling into the show. Amy says Thanks for having me.

Well we are reaching the end of our show.

Don’t forget you can reach out to me on Twitter at kahntaxlaw. Have a great weekend!